ZRO price surges 20% after LayerZero Labs buys $10M, eyes $2 resistance
ZRO price has rebounded sharply from the recent low, climbing 20% in 24 hours as the project’s team boosted its holdings by $10 million.
- ZRO price rebounded from $1.28 to an intraday high of $1.81, now testing key resistance zone at $1.77–$1.82.
- The recent crash to $1.30 was likely partly driven by the recent unlock of ~7.9% of circulating supply on October 20.
- LayerZero Labs’ market buyback of $10 million ZRO helped trigger the rebound.
LayerZero (ZRO) price surged 20% in the past 24 hours, rebounding from the new bottom at $1.28 formed after the October 10 flash crash to reach an intraday peak of $1.81 today. ZRO price is now testing a major short-term barrier at $1.77–$1.82, a level that acted as key support throughout August until the October 10 crash.
The 21 EMA remains below the 50 EMA — still a bearish crossover, meaning the overall trend hasn’t flipped yet. However, since ZRO price is testing the 50 EMA from below, a breakout and retest above it could trigger a bullish EMA crossover in coming sessions.
Looking ahead, if ZRO price closes above $1.82 with follow through on the daily timeframe, it would mark the resistance-to-support flip of the $1.77-1.82 zone and open the door to a retest of the next resistance at $2-$2.10 and then potentially $2.60.
Why did ZRO price crash then rebound?
Apart from the generally bearish sentiment in the crypto market, ZRO’s recent crash to the $1.30 level may have been influenced by the recent token unlock. On October 20, 25.71 million ZRO—worth approximately $44.22 million—were unlocked, representing roughly 7.9% of the circulating supply. The impact wasn’t immediate, however, as the price consolidated for a few sessions before eventually dumping as sentiment deteriorated.
The rebound from the new low, though, was likely the result of LayerZero Labs’ announcement that it had bought $10 million of ZRO from the open market directly to its balance sheet. “We at LayerZero Labs believe ZRO is currently one of the most mispriced assets in the world,” the team wrote in a post on X.
